By Laura Lutz
Des Moines, Jan. 16 - Enterprise Informatics, Inc. arranged a $1.5 million loan with warrants from ERP2 Holdings, LLC.
The funding will happen in two tranches. The first $300,000 will be loaned upon execution of definitive documentation. The remaining $1.2 million will be loaned upon completion of a 1,000-to-one reverse stock split and deregistration of the company's stock.
Under the term sheet, Enterprise is required to complete the reverse split and deregistration by April 30.
ERP2 received a warrant for 17,175,971 shares upon execution of the term sheet. Upon funding of the second tranche, the investor will receive a warrant for a number of shares equal to the greater of 26,735,508 and 20% of the fully diluted share capital at that time.
The warrants will be exercisable at $0.08 for 10 years.
The loan will mature in two years and bear interest at 10% per year.
Enterprise is a San Diego-based information management company. Its stock is currently listed on the OTC Bulletin Board. After deregistration, the company expects its stock to immediately be listed on the Pink Sheets.
| Issuer: | Enterprise Informatics, Inc.
|
| Issue: | Loan
|
| Amount: | $1.5 million
|
| Maturity: | Two years
|
| Coupon: | 10%
|
| Price: | Par
|
| Yield: | 10%
|
| Warrants: | Warrant for 17,175,971 shares; warrant for greater of 26,735,508 and 20% of fully diluted share capital
|
| Warrant expiration: | 10 years
|
| Warrant strike price: | $0.08
|
| Announcement date: | Jan. 16
|
| Stock symbol: | OTCBB: EPRS
|
| Stock price: | $0.04 at close Jan. 16
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
